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Installing Rails by hand requires installing Ruby, installing Gems, and then installing Rails. You will eventually also need to install SQLite, MySQL, or another relational database, though SQLite is already present on the Mac and in many Linux distributions.
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If you’re wondering how to find this “command line,” you need to find a terminal application. On the Mac, it’s called Terminal, and it’s in the Utilities folder of Applications. Linux terminals vary, but it’s probably gnome-terminal or kterm. On Windows, it’s the Command Prompt, cmd.exe. If you’ve never used a command line, you may want to get a quick reference guide for your operating system that covers it.